US Rep Waxman Blasts BP CEO As Congressional Hearing Begins

17th Jun 2010 15:35

By Siobhan Hughes and Tennille Tracy Of DOW JONES NEWSWIRES WASHINGTON (Dow Jones)--U.S. House Energy and Commerce Committee Chairman Henry Waxman (D, Calif.) on Thursday blasted BP PLC's (BP, BP.LN) chief executive at his first appearance before the panel, saying congressional investigators "found no evidence that you paid any attention to the tremendous risks BP was taking." The remarks at the start of BP Chief Executive Tony Hayward's testimony on Capitol Hill suggest that BP's agreement to contribute $20 billion to a spill-damage fund did little to quell anger among Democrats on Capitol Hill. Though Waxman praised BP's decision, he offered little additional praise. "There is not a single e-mail or document that shows you paid even the slightest attention to the dangers at this well," Waxman told Hayward. "You are the CEO, so we considered the possibility that you may have delegated the oversight responsibility to someone else," but after reviewing emails received by other executives, "we could find no evidence" that they had received briefings about drilling activities at the well. Hayward is planning to tell the committee that "I fully grasp the terrible reality" about a damaged well that continues to spew oil across the Gulf of Mexico. "People lost their lives; others were injured; and the Gulf Coast environment and communities are suffering," Hayward will testify. "This is unacceptable, I understand that, and let me be very clear: I fully grasp the terrible reality of the situation." Waxman, whose panel has been investigating the April 20 explosion of the Deepwater Horizon oil rig, said that "there is a complete contradiction between BP's words and deeds. You were brought in to make safety the top priority of BP. But under your leadership, BP has taken the most extreme risks." He said that "BP cut corner after corner to save a million dollars here and a few hours or days there. And now the whole Gulf Coast is paying the price." Rep. Joe Barton (R, Texas), said the $20 billion contribution, which was negotiated with the White House, amounted to a "shakedown." "I think that it is a tragedy of the first proportion that a private corporation is subjected to what I would characterize as a shakedown, in this case a $20 billion shakedown." -By Siobhan Hughes, Dow Jones Newswires; 202-862-6654; [email protected] (END) Dow Jones Newswires June 17, 2010 10:35 ET (14:35 GMT)